Gouverneur Bancorp (OTCMKTS:GOVB) and Bancorp 34 (OTCMKTS:BCTF) Head-To-Head Analysis

Insider & Institutional Ownership

21.6% of Gouverneur Bancorp shares are owned by institutional investors. Comparatively, 6.5% of Bancorp 34 shares are owned by institutional investors. 4.1% of Gouverneur Bancorp shares are owned by insiders. Comparatively, 7.4% of Bancorp 34 shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Dividends

Gouverneur Bancorp pays an annual dividend of $0.16 per share and has a dividend yield of 1.3%. Bancorp 34 pays an annual dividend of $0.28 per share and has a dividend yield of 2.4%. Gouverneur Bancorp pays out 31.4% of its earnings in the form of a dividend. Bancorp 34 pays out -100.0% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Bancorp 34 is clearly the better dividend stock, given its higher yield and lower payout ratio.

Risk and Volatility

Gouverneur Bancorp has a beta of 0.57, suggesting that its stock price is 43% less volatile than the S&P 500. Comparatively, Bancorp 34 has a beta of 0.32, suggesting that its stock price is 68% less volatile than the S&P 500.

Profitability

This table compares Gouverneur Bancorp and Bancorp 34’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Gouverneur Bancorp	5.77%	N/A	N/A
Bancorp 34	-0.27%	-0.17%	-0.02%

Earnings & Valuation

This table compares Gouverneur Bancorp and Bancorp 34″s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Gouverneur Bancorp	$9.34 million	1.48	$540,000.00	$0.51	24.51
Bancorp 34	$28.85 million	2.71	-$3.40 million	($0.28)	-42.18

Gouverneur Bancorp has higher earnings, but lower revenue than Bancorp 34. Bancorp 34 is trading at a lower price-to-earnings ratio than Gouverneur Bancorp, indicating that it is currently the more affordable of the two stocks.

Summary

Gouverneur Bancorp beats Bancorp 34 on 8 of the 13 factors compared between the two stocks.

About Gouverneur Bancorp

Gouverneur Bancorp, Inc. operates as the holding company for Gouverneur Savings and Loan Association that provides various banking products and services to individuals and businesses in New York. It accepts passbook savings, NOW, money market deposit, and checking accounts, as well as certificates of deposit. The company's loan products include mortgage loans, one- to four-family residential loans, commercial real estate loans, and multi-family residential real estate loans, residential and commercial construction loans, commercial land loans, home equity loans, lines of credit, commercial loans, automobiles, motorcycles, campers, boats, and other recreational vehicles, as well as personal secured and unsecured loans. It also invests in municipal bonds, U.S. Treasury securities, U.S. Government agencies and government-sponsored obligations, and mortgage-backed securities. In addition, the company offers online, mobile, bill pay, and telephone banking; electronic or paper statements; and ATM, debit cards, direct deposits, mobile remote deposit capture, automatic payments and transfers, bank checks, wire transfers, and safe deposit box services. It serves primarily the St. Lawrence County, and Jefferson and Lewis counties in New York State. The company was founded in 1892 and is headquartered in Gouverneur, New York.

About Bancorp 34

Bancorp 34, Inc. operates as the holding company for Bank 34 that offers various banking products and services to individuals and businesses in the United States. It accepts various deposit products, such as savings accounts, checking accounts, money market accounts, demand and time deposits, NOW accounts, and individual retirement accounts, as well as certificates of deposit. The company also provides term, working capital, construction, USDA, small business administration, equipment, assisted living and skilled nursing, renewable energy and solar equipment, and commercial real estate loans; and small to medium size business and business acquisitions financing; lines of credit; multi-family finance; and employee stock ownership plans, HOA lending, and investor pools of single family rentals. In addition, it offers credit and debit cards; safe deposit boxes; treasury management products; and merchant card processing, cash management, e-banking, mobile and online banking, bill payment, and merchant capture services. The company operates through its network of full-service branches in Scottsdale and Arizona, as well as Alamogordo and Las Cruces, New Mexico. Bancorp 34, Inc. was founded in 1934 and is headquartered in Scottsdale, Arizona.